Gazprom Proposes Condensate Tax-Hike to Fund Russia Fuel Subsidy

Gazprom PJSC has told the Russian government that it’s ready to pay a higher tax on its gas-condensate production to help finance increased subsidies to Russian oil refineries and support the domestic fuel market.

The proposal is the latest turn in negotiations between Russia’s cabinet and the energy industry over how to fund multibillion-ruble subsidies for domestic makers of road fuel. Authorities are considering the Gazprom plan among other options, with no final decision taken yet, said three people familiar with the discussions, speaking on condition of anonymity because the talks are not public.

Discussions over taxes and benefits for ...